Customs Authorisation and Approval

Criteria and Conditions of Authorisation or Approval: Matrix of criteria required for Authorised Consignor (Transit)

Generic Criteria, mapped against AEO standards

UK Explanation of the criteria

Required Y/N

Legal Basis for criteria

Compliance History of Applicants

The absence of any serious infringement or repeated infringements of customs legislation and taxation rules, including no record of serious criminal offences relating to the economic activity of the applicant by any of the following persons:

Demonstrate a good compliance history in customs and other taxation areas including the absence of serious or repeated irregularities or criminal offences (including the legal entity and any company officials).

YOther taxes - new

A. 233(4)(a) CodeDA A.191

The criterion referred to above shall be considered as fulfilled where the decision-taking customs authority considers any infringement to be of negligible importance, in relation to the number or size of the related operations, and not such as to create doubts concerning the good faith of the applicant.

Customs may consider applications from companies with a past history of non-compliance where these are deemed to have a negligible impact on the procedure applied for.

Y

A. 233(4)(a) CodeDA A.191

Management of customs operations, including internal controls and record keeping

The demonstration by the applicant of a high level of control of his or her operations and of the flow of goods, by means of a system of managing commercial and, where appropriate, transport records, which allows appropriate customs controls

Effective internal controls to manage customs processes and regimes including the maintenance of appropriate documents and records.

Y

A. 233(4)(a) CodeDA A.191

Maintain an accounting system which is consistent with the generally accepted accounting principles applied in the Member State where the accounts are held and which will allow audit-based customs control. Records kept for customs purposes shall be integrated in the applicant’s accounting system or, at least allow the cross check of information with the accounting system and in such a way enabling all relevant information to be made available. The accounting system shall maintain a historical record of data that provides an audit trail from the moment the data enters the file;

Allow the customs authority physical and/or, where required by law or depending on the form in which the records are kept, electronic access to its customs and, where appropriate, commercial and/or transport records

Access provided at an agreed place of business to the commercial and customs records necessary to verify the use of the procedure.

Where necessary, remote electronic access is to be provided to commercial systems.

Ynew

A. 233(4)(a) CodeDA A.191

Have a logistical system which identifies and distinguishes between Union and non-Union goods and, where appropriate, their location, except in the cases where the applicant applies for an AEOS;

Have an administrative organisation which corresponds to the type and size of business and which is suitable for the management of the flow of goods, and have internal controls capable of preventing, detecting and correcting mistakes and of detecting illegal or irregular transactions;

Appropriate internal management controls to verify the accuracy of customs declarations, ensure the correct operation of procedures and to identify and correct irregularities/ mistakes

Y

A. 233(4)(a) CodeDA A.191

Where applicable, have satisfactory procedures in place for the handling of licences and authorisations connected to commercial policy measures or to trade in agricultural products;

Procedures for administering licences, health certificates, preferential origin documentation and other official documentation relating to the import and/or export of goods

Ynew

A. 233(4)(a) CodeDA A.191

Have satisfactory procedures in place for the archiving of the company’s records and information and for protection against the loss of information;

Have appropriate retention procedures in place to manage the archiving of all documentation relating to the import, movement, transfer, transit and export of non-Union goods as required by customs legislation

Y

A. 233(4)(a) CodeDA A.191

Ensure that relevant employees are made aware of the need to inform the customs authorities whenever compliance difficulties are discovered and establish suitable contacts to inform the customs authorities of such occurrences;

Procedures in place to inform employees, agents and third parties of the requirements of the customs procedure and ensure mechanisms are in place for any irregularities/ mistakes to be notified to the customs authorities

Y

A. 233(4)(a) CodeDA A.191

Have appropriate information technology security measures in place to protect the applicant’s computer system from unauthorised intrusion and to secure the applicant’s documentation;

Where applicable, have procedures in place for the handling of import and/or export licences connected to prohibitions and restrictions, including measures to distinguish these goods from other goods and to ensure compliance with these prohibitions and restrictions.

Procedures in place to manage licences relating to prohibitions and restrictions and adequate management controls to ensure health and safety and compliance in this area.

Y

A. 233(4)(a) CodeDA A.191

Guarantees are mandatory for this type of application and therefore the Financial Solvency criteria do not apply

Practical experience and competency in customs operations

With regard to the authorisation referred to in point (a) of Article 38(2), practical standards of competence or professional qualifications directly related to the activity carried out;

Demonstrate a good understanding of customs procedures and operational requirements

Y

A. 233(4)(a) CodeDA A.191

For the practical standards of competence:

Have practical experience in the import, export, movement, transfer or transit of goods

Y

A. 233(4)(a) CodeDA A.191

A minimum of three years practical experience in customs matters has been ascertained; or

For businesses with less than 3 years trading history:· Understand the obligations of operating the customs regime and demonstrate how the terms and conditions will be adhered to· Demonstrate a good understanding of the obligations involved in importing, exporting, using transit (as appropriate)

Y

A. 233(4)(a) CodeDA A.191

Security and Safety of the supply chain criteria do not apply to this type of application